Purchasing Participant Services

Though each tribe or tribal organization will have their own policies and procedures for making participant services purchases, the information below provides a general idea of the processes and considerations for purchasing services.

The Procurement Process

• Generally, when a procurement request is made, the VRC or support staff will gather the documentation (invoice, bill, estimate, etc.) for the item or service and complete the required paperwork, such as a tribal purchase requisition or procurement request form.
• This process can take place using paper forms or electronically using a tribal payment system. The documentation will be attached to the purchase requisition and the VRC or staff will sign the request.
• Participant names or identifying information are not to be on the paperwork. Case numbers are used to match the service or item to the participant.
• The VRC or support staff notes the purchase request in the participant file with the justification for the purchase and the relevance to the IPE, and makes a copy for the file.
• The paperwork is forwarded to the director or supervisor, who will check that the requested item or service is included in the participant's IPE, is an allowable, allocable and reasonable cost, and is properly justified.
• If purchase is approved, the director/supervisor will sign or approve it and either send it on for the next required approval or submit it to finance for processing.
• If the director or the Finance office need more information about the purchase, they will return the request to the initiator with a list of needed details.

Service Payment Methods

The tribe or tribal organization will have different methods of procuring program services, and it differs between tribes. This section will cover several of the methods that different programs use.

Checks: Checks are usually processed by the finance office from a bill or invoice for a service or item received. Checks are usually cut in advance, distributed to the TVR agency and then used to make the purchase.

Purchase Orders (POs), Vouchers or Store Accounts: Purchase orders/vouchers are usually used when the tribe has an account or an "agreement" with a vendor that payment will be made. Usually a purchase order/voucher will be used to pick up the item or utilize the service from a vendor. The vendor will then use the PO/voucher and the receipt and submit an invoice to the finance office at the tribe for payment.

Credit Cards: Credit cards may be used by some tribes, and the TVR director may be eligible to have one to make purchases for the program, depending on the tribe's financial policies and practices. Having a credit card can make purchases easier, but it is important to ensure that all purchasing guidelines are being followed before purchases are made. Generally, when purchases are made, the receipts are saved until the credit card bills comes in and then the receipts are submitted for payment to the finance office with the purchase request.

Gas cards: Some TVR agencies use gas cards to help participants with transportation costs. Some programs will purchase batches of cards that are then "issued" to participants who have assistance with transportation listed in their IPE. Participants can take the card to purchase gas but must then bring back the receipt. They are not allowed to purchase other items with the gas card. If they do, they will be required to pay the money back to the program and it may affect their ability to be issued gas cards in the future.

Considerations for Participants Receiving Items or Services

When a participant receives a item or service needed to support their TVR process, there are several things the agency may want to consider:

Keeping Copies of Receipts: Receipts must be obtained from purchases. In some cases, a copy of the receipt will be attached to the purchase request paperwork and the original receipt will be submitted to the finance office. Sometimes there will be a copy in the agency's purchasing files and in the participant case file. In other cases, where the purchasing system is all electronic, receipts must be scanned and submitted. It is best to keep copies of receipts and file them correctly, as a volume of missing receipts can affect the tribal audit.

Receipt Form showing that items were received: Some programs ask the participant sign a form showing that an item was received and that they agree to use the item while participating in activities listed in their TVR plan. Other ways are to ask the participant to sign the invoice on the date the item was received, or to enter a note into the case file when the participant received the item. An Equipment Receipt Agreement Download Equipment Receipt Agreement form can helps to keep track of purchased items, though the use of this may not be appropriate for all purchases.

Reports received before service paid for: For services such as psychological evaluations or physical assessments are usually paid after the report has been submitted to the TVR agency by the provider. The report usually contains an invoice which is then used to process the payment.

Equipment Agreement form: When an item such as a computer or tools or other items for training are purchased for a participant to use, it is common to ask them to sign a form for Equipment Loan and Release Download Equipment Loan and Release, which states that they have received the item and that they agree to use the item while participating in activities listed in their TVR plan. The form will usually list the conditions where the item may need to be returned to the program and when the item may become the property of the participant. The completed form is usually kept in the participant file, and the data on the form can be maintained in a TVR Agency Equipment Inventory Download TVR Agency Equipment Inventory spreadsheet.

Getting receipts for gas cards, purchase orders or vouchers: At times, a participant receiving a gas card or a participant will take a PO or voucher to purchase the items they need to support their TVR plan. It is very important that participants bring the receipts for purchases in order to verify that funds were spent according to purchasing guidelines (allowable, reasonable and allocable) and that participant service expenditures support the TVR plan. Ensuring this will help the program at audit time. 

It may be useful to put some processes in place that address how to deal with lost receipts, POs/vouchers or gift cards, or when funds are not spent correctly. The tribe may have policies in place that can help guide program policies. Additionally, the program may want to consider making the turning in of receipts mandatory for receiving future services.

There are always times when receipts are lost or misplaced. Receipts may be able to be duplicated or reprinted by the vendor, or it may be useful to use a form that documents that the purchase was made and the item/service was received, which is then signed by the participant. Tribes may have policies in place that address lost receipts, and the program will have to consider these when developing internal policies.